Is commercial liability insurance the same as property insurance?

Insurance can be confusing. Commercial property insurance covers physical damage to property belonging to your business like buildings, furniture, equipment, tools, and more. Commercial liability insurance covers legal expenses for certain types of lawsuits, depending on the type of liability insurance.

Is insurance mandatory for commercial property?

No. While it is not mandatory to have an insurance for your business, it is highly recommended to provide proper protection from any unforeseen circumstances.

What does a commercial liability policy cover?

Business Insurance A Commercial General Liability (CGL) policy protects your business from financial loss should you be liable for property damage or personal and advertising injury caused by your services, business operations or your employees. It covers non-professional negligent acts.

What is not covered by commercial insurance?

What Isn’t Covered by Business Insurance? Losses from certain types of natural disasters, floods and other major weather events may not be covered by standard commercial property policies. The same applies for customers’ property that is stored at your business.

What insurance is needed for commercial property?

A general liability insurance policy protects your commercial real estate from a lawsuit should a third party experience injury or property damage while on your premises. The policies you need and the premiums you pay depend on the type of commercial real estate you own and the type of business (es) you operate on the property.

What does commercial property insurance really cover?

That being said, commercial property insurance not only covers the tangible land where a business is built or operates on, but the capital equipment and the contents of the building owned by the underlying company. All forms of commercial property insurance will provide coverage to these areas; however, the stipulations of each policy will define the specific types of coverage and the amount of damage that will be compensated for, which may include fires, natural disasters and theft.

What does commercial property insurance include?

Commercial property insurance coverage varies, but they’re generally classified by the type of event leading to a loss, and by what things are insured. Basic property insurance usually covers losses caused by fires or explosions, theft, vandalism and damage from vehicles or airplanes.

What includes general liability and property insurance?

Commercial package policies (CPPs) are insurance policies that combine policies, such as liability and property. These policies are often meant for small- to medium-sized businesses. CCPs can include general liability, property, auto, and crime policies, among others.